New Developments in Al Falah University Money Laundering Case

Chargesheet Filed by the Enforcement Directorate

The Enforcement Directorate (ED) has submitted a chargesheet revealing several findings against Al Falah University, located in Faridabad. This chargesheet is part of an ongoing investigation into money laundering linked to the November 2025 explosion in the Red Fort area. Notably, the university appointed three doctors—including two who were arrested by the National Investigation Agency (NIA) and one alleged suicide bomber—without conducting proper police verification or scrutiny.

Provisional Attachment of University Assets

In a statement released on Friday, the ED announced the provisional attachment of university land and buildings valued at approximately Rs 140 crore, situated in the Dhauj area of Faridabad. This action is part of the broader money laundering investigation targeting the university’s promoter. The agency has reportedly collected statements from various senior executives and faculty members, which were included in the chargesheet presented to a Delhi court.

Key Accusations Against University Officials

The chargesheet, which spans around 260 pages, seeks the prosecution of Jawad Ahmad Siddiqui, the 61-year-old chairman of the Al Falah Group, and the Al Falah Charitable Trust, which oversees the university’s educational institutions. These accusations are based on alleged illicit fund generation from student fees, alongside claims of misrepresenting the accreditation status of the institutions. The court has yet to acknowledge the ED’s chargesheet.

Allegations Surrounding Medical College Faculty

According to the ED’s findings, the medical college employed doctors merely “on paper” under clauses such as “22 days punch” or “two days per week” to portray them as regular faculty members. This tactic was reportedly employed to secure necessary approvals from the National Medical Commission (NMC) for uninterrupted operation of the healthcare facility.

Officials stated that the Registrar of the University confirmed the visits by investigative agencies and the subsequent arrests of individuals associated with the university hospital. The Registrar admitted that the doctors were hired without any police verification.

Details of Doctor Appointments

The Vice-Chancellor and Principal of the University informed the ED that several doctors linked to terror activities were appointed during her tenure. These included a junior resident in general medicine, an associate professor in pharmacology, and the alleged suicide bomber, whose appointments were approved by Siddiqui based on recommendations from the university’s HR head. The Vice-Chancellor also noted that no police verification was conducted for these appointments.

Context of the Red Fort Blast

The car explosion near Delhi’s Red Fort on November 10 last year resulted in the deaths of 15 individuals and injuries to many others. The individual driving the explosive-laden vehicle was killed in the blast, while two others were apprehended by the NIA and are currently in judicial custody.

Further Investigations and Findings

A document included in the chargesheet indicates that one of the accused was listed as a regular doctor at the medical facility. Siddiqui has claimed no connections to terrorist organizations. The ED’s investigation, conducted under Section 50 of the Prevention of Money Laundering Act (PMLA), has recorded statements from various university officials.

The agency discovered that many doctors employed at the medical college were not present on a regular basis, with their employment status merely serving to meet regulatory requirements. The ED alleged that Siddiqui issued fake work experience certificates to several of these doctors.

Financial Implications of the Investigation

The ED found that financial arrangements for some consultants, appointed as senior faculty members in the pediatrics and neonatology departments, were linked to occupancy levels in critical care units rather than clinical needs. Siddiqui allegedly continued to deceive the NMC during its last inspection of the medical college in June 2025, which led to an increase in MBBS seats from 150 to 200.

The investigation revealed that “on paper” doctors received significantly lower salaries compared to their peers, further underscoring the irregularities in hiring practices. The ED concluded that several doctors were hired temporarily for regulatory inspections and that many had fraudulent employment terms.

Future Actions and Expected Developments

Evidence gathered by the ED suggests that the medical facility appeared to be non-functional shortly before the NMC inspection, with indications of “fake” patient admissions. The agency has established that Siddiqui played a primary role in the alleged money laundering case, with identified proceeds of crime amounting to Rs 493.24 crore. These funds were reportedly generated through deceptive practices involving student fees based on false claims of accreditation.

The ED plans to file an additional chargesheet, anticipating that the illicit funds will increase as the investigation continues to examine the university’s financial activities beyond March 2025.